An agreement under contract which provides that in an event of default, the purchaser is entitled to $10,000.00 from the seller is known as a:
A) rescission provision
B) "time is of the essence" provision
C) specific performance provision
D) liquidated damage provision

Question

Quizplus · Accepted Answer

A liquidated damage provision specifies a predetermined amount of money that must be paid as damages in the event of a breach of contract.

An Agreement Under Contract Which Provides That in an Event